U.S. Targets HMO Fraud
In Medicare and Medicaid

WASHINGTON -- The managed-care industry, having fought off patients'- rights legislation, now has a new headache: The fraud cops are turning up the heat.

More than 10 health-maintenance organizations are under investigation for possible health-care fraud involving Medicare and Medicaid, say federal law enforcement officials who describe HMO fraud as a major new focus. One important area of inquiry, they say, involves the alleged...